Multichannel networks quickly become a big thing when YouTube introduced them a few years back, offering higher revenues and help with videos to top-level YouTubers, there’s a number of offerings available, however not all of which have got that big, bar Maker Studios who have managed to grab some of the biggest YouTubers across a range of genres.
And today their dominance has been confirmed in new that was released earlier today, Maker Studios will soon be acquired in a deal from Walt Disney Co. in a deal said to be worth $500, with a performance based earn-out of up to $450 million.
According to Disney, the acquisition of Maker Studios will help it bring “advanced technology” and insight into consumers’ discovery and integration with online videos, including those made by Disney themselves.
“Short-form online video is growing at an astonishing pace and with Maker Studios, Disney will now be at the center of this dynamic industry with an unmatched combination of advanced technology and programming expertise and capabilities,” Disney chairman and CEO Robert A. Iger said in in the companies announcement.
Shortly after the deal was announced, Disney shares went up by 0.3% in after-hours trading, bringing it up to $79.75 per share, with the companies’ stock closing down at 1% in regular trading to $79.49 per share.
Disney’s deal comes after Warner Bros acquired Machinima, however the deal is still subject to regulatory clearances, which isn’t expected to be completed until close until Disney’s 2014 third fiscal quarter in June.
Maker Studios was first founded in 2009, since which time the studio has stated that they have more than 5.5 billion monthly video views and 380 million subscribers across its channels.